Abstract From the view of the interaction among the problem customer, frontline employees and fellow customer, this study examine the impact of capability of frontline service employee to deal with customer misbehavior on fellow customers’ service quality perception and loyalty as well as the mediation effect of deontic justic and the moderation effect of the type of customer misbehavior. Survey was adopted to collect data through questionnaire star network platform. The result shows that capability of frontline service employee to deal with customer misbehavior has a significant positive effect on fellow customers’ service quality perception and loyalty and the mediation effect of deontic justic is significant. The moderation effect of the different type of customer misbehavior is significant. When the customer misbehavior behavior is aimed at the fellow customers, the effect of employee’s coping ability on deontic justic is stronger.
